17.9 C
Sunday, October 1, 2023

U.S. Steel Teams up with Equinor on Hydrogen, Carbon Capture

Must read

Unites States Steel Corp. (X) has signed a Memorandum of Understanding (MOU) with Equinor US Holdings to evaluate the commercial potential for carbon capture and storage (CCS) and hydrogen development in Ohio, Pennsylvania, and the West Virginia region.

The MOU also encompasses customer and supplier screenings, blue hydrogen advocacy, and the evaluation of renewable energy synergies. Hydrogen-based steel processes and CCS are two promising technologies that are currently under development. The two companies also plan to explore possible opportunities that a combination of natural gas and CCS may offer to reach decarbonization goals.

Richard Fruehauf, Senior Vice President, Chief Strategy & Sustainability Office, said, “The successful development of hydrogen and CCS technology in the tri-state region will require investment, cooperation, and exploration across political and perceived barriers.” (See U.S. Steel stock chart on TipRanks)

Fruehauf added, “As we build momentum toward our ambitious goal targeting net-zero carbon emissions by 2050, the opportunity to explore the potential for a hydrogen hub in this region – anchored in the Mon Valley – is cause for optimism.”

On June 18, BMO Capital analyst David Gagliano reiterated a Hold rating on the stock with a price target of $31 (32.7% upside potential).

Commenting on U.S. Steel’s earnings pre-announcement week, Gagliano said, “US Steel indicated it is seeing no signs of a slowdown in current strong market conditions…Q2 will be an exceptionally strong quarter for X, with more on the way in Q3.”

Based on 2 Buys, 3 Holds, and 1 Sell, consensus on the Street is a Hold. The average U.S. Steel price target of $32.33 implies 38.4% upside potential. Shares are up 223.5% over the past year.

Related News:
Beyond Meat Partnering with DoorDash; BYND Rises 5%
CarMax Delivers Blowout Q1 Earnings; Shares Jump 7%
Rockwell to Acquire Plex Systems in $2.22B Cash Deal

The post U.S. Steel Teams up with Equinor on Hydrogen, Carbon Capture appeared first on TipRanks Financial Blog.

Source link

More articles

Latest article